Scarcity, FoP, Opportunity Cost, & PPFs

What is the main problem in economics?

• scarcity

• shortage

• choices

• unemployment

Scarcity of resources forces nations, businesses and people to make

• problems.

• choices.

• barters.

• trades.

True or False: Every choice that is made involves a trade-off.

• True

• False

Things that you use for your survival are called

• needs

• wants

• resources

• factors of production

Goods or services that you would like to have, but aren't needed for survival are called

• needs

• wants

• resources

• capital

The factors of production include all of the following EXCEPT:

• land

• labor

• capital

• entrepreneurs

The productive resource of land include (click all that apply).

• trees

• water

• physical land

• birds

True or False: Land is also known as raw materials used to make finished goods.

• True

• False

True or False: Labor is the work that people do.

• True

• False

True or False: Capital is equipment, buildings or machines used to make goods or services.

• True

• False